A group of South Pacific government ministers has praised Fiji's progress towards democracy, saying it should be rewarded with greater regional involvement.

Australia's Foreign Minister Julie Bishop has been part of the six-member Pacific Islands Forum delegation, which has spent two days gauging Fiji's progress towards democratic elections.

"Collectively we are encouraged by what we've seen and we very much hope that by September this year, Fiji would have held an election deemed by the international community to be free and fair," Ms Bishop said.

The group says there has been significant progress by Fiji over the past year, with the approval of a constitution, the establishment of an election office and the registration of four political parties and more than half a million voters.

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